***************
* DO FILE TO REPLICATE ANALYSES IN APPENDIX A OF:
* Babic, Milan and Lukas Linsi. 2024. "Mapping Corporate Investments Between China and Europe in an Era of Geoeconomic Competition". JCMS: Journal of Common Market Studies.
* June 2024
*********
cd 

use euchina_all

xtset countrycode Year

*graph twoway line ifdi_china Year if countrycode==122

bysort Year: sum ism

*Q1. Does higher China FDI stock increase number of ISMs?

*reg ism ifdi_chinahk 
*reg ism ifdi_chinahk ifdi_world
*reg ism ifdi_china_world
reg logism ln_ifdi_chinahk ln_ifdi_world
reg logism ln_ifdi_chinahk ln_ifdi_world i.Year
reg logism L1.ln_ifdi_chinahk L1.ln_ifdi_world i.Year
reg logism L2.ln_ifdi_chinahk L2.ln_ifdi_world i.Year

*reg ism_binary ln_ifdi_chinahk ln_ifdi_world i.Year

xtreg logism ln_ifdi_chinahk ln_ifdi_world 
xtreg logism ln_ifdi_chinahk ln_ifdi_world i.Year
xtreg logism L1.ln_ifdi_chinahk L1.ln_ifdi_world i.Year
xtreg logism L2.ln_ifdi_chinahk L2.ln_ifdi_world i.Year
*interpretation: countries with more Chinese FDI not more likely to adopt ISMs (between-effects), but increases in FDI from China does increase likelihood to adopt ISMs

*Q2. Do ISMs reduce FDI from China?

*reg ifdi_chinahk ism ifdi_world 
*reg ifdi_chinahk ism ifdi_world i.Year

reg ln_ifdi_chinahk logism ln_ifdi_world 
reg ln_ifdi_chinahk logism ln_ifdi_world i.Year
reg ln_ifdi_chinahk L1.logism ln_ifdi_world i.Year
reg ln_ifdi_chinahk L2.logism ln_ifdi_world i.Year

*interpretation between-effects: more ISMs weakly negatively associated with lower China FDI stock, controlling for total IFDI, but not significant (when logged)

*xtreg ifdi_chinahk ism ifdi_world 
*xtreg ifdi_chinahk ism ifdi_world i.Year

xtreg ln_ifdi_chinahk logism ln_ifdi_world 
xtreg ln_ifdi_chinahk logism ln_ifdi_world i.Year
xtreg ln_ifdi_chinahk L1.logism ln_ifdi_world i.Year
xtreg ln_ifdi_chinahk L2.logism ln_ifdi_world i.Year

*interpretation: increase in sector restrictions associated with increases in FDI stock from China (?) (when logged). Too early to see effects since increases only from 2020 onwards



